Floor Packet Page No. 6
Amend CSHB 3 as follows:
(1) On page 1, line 18, strike "$1.12" and substitute "$____".
(2) On page 2, line 6, strike "$1.23" and substitute
"$____".
(3) On page 2, lines 24 and 26, strike "$1.23" and
substitute "$____".
(4) On page 3, lines 1 and 2, strike "$1.12" and substitute
"$____".
(5) Add the following appropriately lettered PART to
ARTICLE 3 of the bill and reletter subsequent PARTS accordingly:
PART ___. ELECTRICITY AND GAS
SECTION 3_.01. Sections 321.201(a) and (b), Tax Code, are
amended to read as follows:
(a) Each retailer in a municipality that has adopted a tax
authorized by this chapter shall add each sales tax imposed by the
municipality under this chapter and by Chapter 151 to the sales
price, and the sum of the taxes is a part of the price, a debt of the
purchaser to the retailer until paid, and recoverable at law in the
same manner as the purchase price. [If the municipality imposes the
tax on gas and electricity for residential use, only the municipal
tax is added to the sales price of sales of gas and electricity for
residential use.]
(b) The amount of the total tax is computed by multiplying
the combined applicable tax rates[, or the rate of the municipal tax
only for sales of gas and electricity for residential use in a
municipality that imposes the tax on gas and electricity for
residential use,] by the amount of the sales price. If the product
results in a fraction of a cent less than one-half of one cent, the
fraction of a cent is not collected. If the fraction of a cent is
one-half of one cent or more, the fraction shall be collected as one
cent.
SECTION 3_.02. Section 321.204(a), Tax Code, is amended to
read as follows:
(a) In each municipality that has adopted the taxes
authorized by this chapter, the taxes imposed by Section 321.104(a)
and the tax imposed by Subchapter D, Chapter 151, are added together
to form a single combined tax rate, except[:
[(1) in a municipality that imposes the tax on gas and
electricity for residential use only the rate of the municipal tax
is used to determine the amount of tax on the use, storage, or other
consumption of gas and electricity for residential use; and
[(2)] only the rate of the municipal tax is used in a
situation described by Section 321.205(b).
SECTION 3_.03. Section 321.208, Tax Code, is amended to
read as follows:
Sec. 321.208. STATE EXEMPTIONS APPLICABLE. The exemptions
provided by Subchapter H, Chapter 151, apply to the taxes
authorized by this chapter[, except as provided by Section
151.317(b)].
SECTION 3_.04. Section 323.207, Tax Code, is amended to
read as follows:
Sec. 323.207. STATE EXEMPTIONS APPLICABLE. The exemptions
provided by Subchapter H, Chapter 151, apply to the taxes
authorized by this chapter[, except as provided by Section
151.317(b)].
SECTION 3_.05. The following provisions of the Tax Code are
repealed:
(1) Section 151.317;
(2) Section 321.207(c); and
(3) Section 323.206(c).
SECTION 3_.06. LEGISLATIVE INTENT. It is the legislature's
strong intention that, though the legislature has rarely conducted
a referendum on matters of statewide importance, the will of the
people should be honored and take precedence over any prior
constitutional rule of law given the nature of this particularly
important issue in our state.
SECTION 3_.07. REFERENDUM AND BALLOT PROPOSITION. At the
general election to be held on November 8, 2005, the voters shall be
permitted to vote in a referendum as provided by this section. The
ballot shall be printed to provide for voting for or against the
proposition: "Reduction in school district maintenance and
operation property tax rates through imposing the state sales and
use tax on electricity and gas." The proposition shall be printed
on the ballot beneath the proposed constitutional amendments under
the heading: "Referendum Proposition."
SECTION 3_.08. ELECTION PROCEDURE. (a) Notice of the
election shall be given in the same manner that notice of proposed
constitutional amendments is given.
(b) Returns of the votes cast on the proposition shall be
prepared and canvassed in the same manner as the returns on proposed
constitutional amendments.
(c) Immediately after the results of the election are
certified by the governor, the secretary of state shall transmit a
copy of the certification to the lieutenant governor and the
speaker of the house of representatives.
SECTION 3_.09. EFFECT OF ELECTION. (a) If a majority of
the votes cast in the referendum oppose the proposition, Sections
3__.01-3__.05 of this part do not take effect.
(b) If a majority of the votes cast in the referendum favor
the proposition, Sections 3__.01-3__.05 of this part take effect
January 1, 2006.
SECTION 3_.10. CONSTRUCTION. (a) Except as provided in
Subsection (b) of this section, the rules of construction stated in
Section 311.032, Government Code, apply to the construction of this
part.
(b) If a majority of votes cast in the referendum opposes
the proposition and subsequently the sections of this part
requiring a referendum are held invalid by a final judgment of a
court of competent jurisdiction, this part expires on the date that
the judgment of the court becomes final and the law amended by this
part exists as if this part were not enacted.
SECTION 3_.11. This part takes effect immediately if this
Act receives a vote of two-thirds of all the members elected to each
house, as provided by Section 39, Article III, Texas Constitution.
If this Act does not receive the vote necessary for effect on that
date, this part takes effect on the 91st day after the last day of
the legislative session.